Assess the work of Hjalmar Schacht in restoring Germany's economic
situation.
Germany at the beginning of 1933 had a high unemployment rate, which
meant poverty was widespread. Those in work found that their wages
declining which had consequences for those who produced consumer
goods. International trade, industrial production and national income
had all dropped.
Schacht had been chosen by Hitler to solve Germany's economic problems
due to a couple of reasons. The most important one was the fact he was
the man who had solved hyperinflation in 1923 and had brought
Germany's economy back on track then; the other reason was because
Schacht was strongly right wing.
Schacht became the Economic Minister in 1934 and used the financial
facilities of the Reichsbank to help Germany rearm. He was then given
dictatorial powers over the economy. The new plan of September 1934
provided control of all aspects of trade and currency exchange.
Schacht had many ideas on how to get Germany's economy back up to full
strength. One of his ideas was influenced by Keynes, a British
economist. He adopted the policy of deficit financing; this idea was
that money would be spent of public works to create jobs. The
government would pay people to build motorways, which would then
reduce unemployment. They then had money to spend, which would mean
more products would be needed and companies would have to take on more
workers, lowering unemployment further.
The German government hoped that the secondary jobs, which were being
created, would reemploy the majority of the population, instead of
having to feed more money into the system.
But this didn't just solve unemployment; it was useful to the public,
it meant there were now modern roads, which eased travel over the
country. This idea had one more advantage although this wasn't for the
people; it was for the Nazi party. Building roads and updating the
country was good propaganda; people liked what they were doing and had
even more reason to want to keep them in power. Building wasn't the
only scheme launched; afforestation was also used to create jobs. This
idea paid off as unemployment was down to 2.5 million by mid 1934, and
then by the middle of 1935 it had decreased further to 1.7 million.
Hitler wanted 'autarky', which in principal was that Germany would
become economically self-sufficient. This would then mean that Germany
no longer would have to be dependent on other countries to import
foodstuffs and raw materials. Another advantage was that Reichsmarks
weren't wasted on import taxes. It also gave Germany the opportunity
to strive towards a target and it would give them pride when it was
The Great Depression had a big impact on both the United States and Germany. Both countries were in a state of panic, a state of desperation, and a state of distraught. Not knowing what to do, the people of both countries needed a leader that would step up to absolve them of all of their fears and regain order to life. The United States’ leader Franklin Delano Roosevelt led the country in connection to his people and led them to strength and prosperity through the depression and through war. Germany's leader Adolf Hitler took advantage of his people's desperation and led them in a revolution that would kill millions of people and although having power for a fair amount of time, he would lead his people to their even more increased downfall and broken down economic
allowed him to think in a rational and sane manner. It also explains why later
people accepted him as a deserving warrior and permitted him to do what ever he
just because the guy he was. He a big effect in his family and had a big influence on his family.
because he gave him money for the movies and took him on frequent fishing trips.
because he is not the type of person that would sit around and watch the government go
The Break Out of the Revolution in Germany in 1848 There were a numerous external and internal factors behind the 1848 revolutions in Germany. Externally, changes in the international climate and political upheaval in Austria provided German nationalists with an avenue of opportunity to cease power. Internally, the growth of German nationalism and liberalism coupled with the acute financial and food crisis of 1847 created an atmosphere fit for revolutionary activity. Between 1815 and 1847, the Great powers reduced the importance of nationalism and liberalism in order to maintain the ideals set about at the Treaty of Vienna of peace, order and stability within the balance of power. The Great powers installed Austria as the ‘reactionary henchman’ of Europe.
Germany experienced a lot of economic changes after Germany was split into East Germany and West Germany. Initially, West Germany was established as a federal republic but was established as it’s own independent nation in 1955. Many events happened in West Germany from the 1950s to the 1980s before Germany became one nation again. There were events such as “oils price shocks, generous social programs, rising deficits and loss of control.” East Germany’s economy was strong due to the Soviet Union’s reliance on Eastern Germany’s production of machine tools, chemicals and electronics. It became appealing to reunite with West Germany when the value of East Germany’s currency became “worthless” outside of it’s country because Eastern Germany was relying on the Soviet Union’s demand (Marketline).
Germany and its Economy Known as the "fair" capital, Germany lies in the center of Europe and in the center of the European home market. Approximately two thirds of the top international fairs take place in Germany. Germany is successful. A leader in world trade, Germany is the third largest economy in the world and the biggest market in Europe. It wasn't always this way though; European power struggles wounded the country in two devastating World Wars in the first half of the 20th century and left the country dominated by the victorious Allied powers of the US, UK, France, and the Soviet Union in 1945.
his public perception, it wasn’t hard for other people to accept the relationship between him and
Hyper- inflation in Germany 1923 was that of a huge blow to their economy and moreover, to their self-esteem. The value of the German mark became next to nothing, and people ended up having to trolley wheel-barrows full of money just to buy a loaf of bread. There are several causes for this happening in the first place, Germany had no goods to trade with the first place and they weren’t exactly on good terms with other countries to be in a position to do so. Then there was the severe impact of the treaty of Versailles that was “happily bestowed” upon them after the First World War. The French invasion of the Ruhr caused an uproar in the German government and it didn’t help in terms of Germany’s economy either. These were just a few main causes of the hyper-inflation in Germany, however, to find out what really happened what the real truth is we would have to accept the fact that real answer lies with inputs from all of these causes as they all played a part.
due to his appearance. He simply scared people. This resulted into isolation and the fuel
Was it because of his part in the decline of the Liberal party? Or was
The Extent to Which the Weimar Republic Recovered after 1923 In the period after 1923, under Gustav Stresemann, Germany was able to stand back on its feet and overcome many of its difficulties. Weimar Republic was created in 1919 to govern a defeated Germany after World War One. Germany was facing many social, political and economical problems while the new constitution laid open for the seizure of power. There were many rebellions and attempted revolutions making the country very unstable. Situations were made worse by the harsh terms of Treaty of Versailles, causing hyperinflation and a huge amount of national debt.